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Ghana unveils $313 million plan to tackle ongoing electricity crisis

The funds to be released in phases
Electricity transmission line with workers on it in Africa
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The Electricity Company of Ghana (ECG) has announced a GH¢3.46 billion ($313 million) investment programme aimed at addressing persistent power outages and stabilising electricity supply across the country. 

The disclosure was made known by the Acting Managing Director of ECG, Kwame Kpekpena, at a press briefing in Accra on Wednesday.

He outlined a phased plan targeting immediate faults, medium-term upgrades, and long-term infrastructure expansion. 

According to him, the programme, developed with support from the Ministry of Energy and Green Transition, is structured into five categories based on urgency and implementation timelines. 

Details of the project 

The Director said the first phase, valued at GH¢278 million ($25.16 million) focuses on urgent interventions to stabilise supply and improve voltage quality across ECG’s operational areas. 

He explained that the company is installing 2,500 transformers to ease pressure on overloaded systems, alongside replacing deteriorated infrastructure within the low-voltage network. 

“The first category consists of actions that need to be implemented immediately to stabilise supply and improve voltage quality,” he said. 

The measures include the replacement of 1,600 rotten poles, installation of additional treated poles, and provision of cable termination kits to fix underground faults.  

Substation protection systems and rectifiers are also being upgraded, while 28,000 fuses and 240 distribution panels are being deployed to restore network stability

More insights 

ECG noted that immediate fixes alone will not resolve longstanding reliability issues. The second phase, estimated at GH¢1.2 billion ($108.6 million) and scheduled within six to 12 months, will focus on expanding and reinforcing the distribution network. 

This phase includes the construction of Distribution Control Transfer Links (DCTLs) to create alternative supply routes, as well as the completion of stalled substation projects and regional system improvement works. 

Kpekpena said additional transformers will be injected into the system, while undersized conductors will be upgraded to improve voltage levels

The third phase, costing GH¢1.93 billion ($174.6 million) will span 12 to 18 months and target large-scale infrastructure to strengthen ECG’s long-term capacity. 

In Kumasi, both medium and low-voltage networks are heavily overloaded, leading to frequent outages and declining supply quality.  

The Director disclosed that ECG plans to inject over 300 additional transformers into the Kumasi network, supported by nine major projects valued at GH¢1.11 billion ($100.4 million).

In the Volta and Oti regions, the challenge is linked more to transmission constraints than distribution faults. The Ghana Grid Company is leading efforts to upgrade transmission lines from 69kV to 161kV under the Eastern Corridor Transmission Project. 

What you should know 

The Electricity Company of Ghana is responsible for electricity distribution across southern Ghana, serving millions of residential, commercial and industrial customers. 

Its operations depend on power transmitted by the Ghana Grid Company, which manages the high-voltage transmission network nationwide. 

ECG has received criticism regarding its electricity supply, which has included periods of load shedding and voltage fluctuations affecting homes and businesses in its coverage area. 

The company has developed a detailed activity schedule covering April to September 2026, tracking procurement, logistics, transformer installations and network repairs across all operational areas. 

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